2. The Little Spreadsheet that Couldn’t… A little spreadsheet was employed by a financial institution for such work it was built for, valuing projects to be accepted or rejected. One morning, it was waiting for its next call when an associate asked a large, complex spreadsheet to help it solve a problem. “I can’t; it’s too much for me,” said the large complex spreadsheet. In desperation, the associate asked the little spreadsheet to do it. “I think I can, I think I can..” said the little spreadsheet as it rashly started its computations. But it couldn’t and didn’t. What might have gone wrong?
3. Overconfidence Overconfidence may increase spreadsheet errors Don’t fall into the hard-easy effect! Overconfidence is highest when actual performance is lowest Tends to prevent people from taking it step-by-step to reduce risks Even when you become an Excel master, still be wary of the overconfidence trap
4. Quantitative Errors Mechanical errors Easiest to detect Mistyping a number or pointing to the wrong cell Logic errors More difficult to detect Using the wrong formula because of a mistake in reasoning Omission errors Most difficult to detect Leaving something out
5. Failure to Check Your Work Checking your work at the end of the development stage will reduce total number of errors, no matter how long you have used Excel Studies have shown that cell error rates are consistent across all experience levels of spreadsheet users1 Remember to not only look at the calculations and formulas but also the big picture. Does your spreadsheet make sense and answer the question that’s been posed? Is it clear to understand? 1 http://panko.shidler.hawaii.edu/SSR/Mypapers/whatknow.htm
6. Recognizing the World of Spreadsheet Errors Taking time to frame the upfront design is important Ballpark it! Throughout the spreadsheet process, maintain a level of precision and an attitude of modesty Overconfidence Quantitative Errors Double check your work at the end
